Real Estate

BUILDERS SO GREEDY

  • Last Updated:
  • Feb 19th, 2017 3:49 pm
[OP]
Sr. Member
Feb 3, 2015
970 posts
191 upvotes
Toronto

BUILDERS SO GREEDY

Back in 2015 I remember seeing an ad for Woodbridge towns for high 300s then in late 2015 the ad was changed to 400s. Now their launch in March and they moved up to 500s. Wtf??? Are they that greedy? Place is not even built and the prices are up. Just not fair.....
38 replies
Deal Addict
User avatar
Dec 27, 2011
3330 posts
1581 upvotes
Waterloo
Not fair? Why would you expect them to price their houses under market value?
Banned
Feb 13, 2017
951 posts
1269 upvotes
From 2015 to 2017 prices went up DRASTICALLY..

If they have not built them yet, why would they sell them to you at 2015 prices?

I do not understand your question/rant/thought....whatever it is...
Deal Expert
User avatar
Jul 30, 2007
26143 posts
11206 upvotes
Toronto
$500k for towns in Woodbridge, that's a steal .. in today's market. New builds in the Woodbridge has now approached the $2M for detached
Deal Addict
Aug 12, 2004
4356 posts
1972 upvotes
Calgary
You snooze you lose in the GTA real estate market, supply and demand dictate the market. Whether it will crash, correct or not, right now it is crazy hot due to high demand. Those poor souls who waited to buy in 2011-12 thinking the market was going to crash...
[OP]
Sr. Member
Feb 3, 2015
970 posts
191 upvotes
Toronto
Pass the savings onto the buyer like they always did. Now it's just plain greed.
Deal Guru
Jun 26, 2011
13086 posts
3204 upvotes
Markham
JohnS821 wrote: Pass the savings onto the buyer like they always did. Now it's just plain greed.
That's normal unfortunately. I was dealing with a builder about 3 years ago and they'd sent dozens of promotional emails stating "starting from x" about a month after the final email they said they were releasing on the weekend for 50k more than stated in the email a month earlier. I asked the owner directly what was up with that...Given that such a short time before, they'd been stating the original price in email. His response was basically too bad and if you don't like it, don't buy.

No recourse but i found it incredibly unprofessional.
Deal Expert
User avatar
Jul 30, 2007
26143 posts
11206 upvotes
Toronto
Op, you also have to understand there are very complex variables at work when builders are selling in 2015 vs selling now.

Infrastructure cost is not cheap to put in a new subdivision
Region and local dc cost is increased 2x a yr. mind you, we are not talking about a few hundred $, we are talking thousands upon thousands of $
Land developer and or land owner are asking premium $ (demand and supply)
Construction labors and materials are in shortage in some builds
Builders usually don't see a penny back of their investment for many years and /or until the houses have completed and closed
[OP]
Sr. Member
Feb 3, 2015
970 posts
191 upvotes
Toronto
Clearly they are using the housing price boom to make a quick buck. I'm disgusted and disappointed. It's actually closer to Kipling a d Steeles than Woodbridge.
Deal Addict
User avatar
Sep 1, 2013
1420 posts
321 upvotes
New Tecumseth, ON
JohnS821 wrote: Clearly they are using the housing price boom to make a quick buck. I'm disgusted and disappointed. It's actually closer to Kipling a d Steeles than Woodbridge.
Private companies trying to maximize profits? Terrible.
Just because you can doesn't mean you should.
Deal Addict
User avatar
Dec 13, 2016
3331 posts
2748 upvotes
JohnS821 wrote: Clearly they are using the housing price boom to make a quick buck. I'm disgusted and disappointed. It's actually closer to Kipling a d Steeles than Woodbridge.
Would you be disgusted and disappointed if they sold it to you for 300k and the next day you sell it at the fair market price of 500k?
[OP]
Sr. Member
Feb 3, 2015
970 posts
191 upvotes
Toronto
crystallight wrote: Not fair? Why would you expect them to price their houses under market value?
Yes yes because I'm the one taking a risk to buy a property with a loan from the bank not them. Freaking guys did the classic bait and switch.
Deal Fanatic
Jan 15, 2004
6216 posts
930 upvotes
Don't forget they charge a future price also as I assume these are pre-construction. The market is insanely hot still.
Deal Expert
User avatar
Jul 30, 2007
26143 posts
11206 upvotes
Toronto
bottom line is if you feel the prices are beyond insane, then just rent. problem solved. case closed.
Deal Fanatic
Nov 22, 2015
5531 posts
4854 upvotes
JohnS821 wrote: Yes yes because I'm the one taking a risk to buy a property with a loan from the bank not them. Freaking guys did the classic bait and switch.
Why would you think that? You think your measley $300K mortgage even compares with the amount of risk a builder takes on with their multi-million dollar construction loans? Why don't you get into the building business if it's so risk-free and profitable?

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